UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 13F
FORM 13F COVER PAGE
Report for the Calendar Year or Quarter Ended: December 31, 1999
Check here if Amendment [ ]; Amendment Number:
This Amendment (Check only one.): [ ] is a restatement.
[ ] adds new holdings entries.
Institutional Investment Manager Filing this Report:
Name: Hotchkis and Wiley, A Divison of Merrill Lynch Asset Management, L.P.
Address: 725 South Figueroa Street
Suite 4000
Los Angeles, California 90017
13F File Number:
The institutional investment manager filing this report and the
person by whom it is signed hereby represent that the person
signing the report is authorized to submit it, that all
information contained herein is true, correct and complete, and
that it is understood that all required items, statements,
schedules, lists, and tables, are considered integral parts of
this form.
Person Signing this Report on Behalf of Reporting Manager:
Name: Michael Baxter
Title: Portfolio Manager & Co-Head
Phone: (213) 430-1858
Signature, Place, and Date of Signing:
Michael Baxter Los Angeles, California 90017 January 12, 2000
Hotchkis & Wiley ("H&W") is a division of Merrill Lynch Asset
Management, L.P.("MLAM"), which is an institutional investment manager
subject to reporting requirements under Section 13(f) of the
Securities Exchange Act of 1934 and the rules promulgated thereunder.
The Securities positions managed by H&W are reported herein, but are not
reported in the Form 13F filed by Fund Asset Management, L.P. on behalf
of itself and MLAM.
MLAM and H&W are indirect wholly-owned units of Merrill Lynch & Co., Inc.
The securities positions of H&W reported herein are also being reported on
behalf of ML&Co. which may be deemed to share with H&W investment
discretion with respect to such positions.
Report Type (Check only one.):
[X] 13F HOLDING REPORT.
[ ] 13F NOTICE.
[ ] 13F COMBINATION REPORT
I AM SIGNING THIS REPORT AS REQUIRED BY THE SECURITIES EXHCANGE
ACT OF 1934.
<PAGE>
FORM 13F SUMMARY PAGE
Report Summary:
Number of Other Included Managers: 0
Form 13F Information Table Entry Total: 204
Form 13F Information Table Value Total: $6195585
List of Other Included Managers:
NONE
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<TABLE>
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FORM 13F INFORMATION TABLE
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Column 1 Column 2 Column 3 Column 4 Column 5 Column 6 Column 7 Column 8
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VALUE SHARES/ SH/ PUT/ INVSTMT OTHER VOTING AUTHORITY
NAME OF ISSUER TITLE OF CLASS CUSIP (X$1000) PRN AMT PRN CALL DSCRETN MANAGERS SOLE SHARED NONE
- ------------------------------ ---------------- --------- -------- -------- --- ---- ------- ------------ -------- -------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
DENISON INTERNATIONAL PLC ADR 248335101 2511 245000 SH SOLE 130700 0 114300
GROUPE AB SA ADR 39944Q109 363 64700 SH SOLE 39200 0 25500
AK STL HLDG CORP COMM 001547108 2024 107262 SH SOLE 38494 0 68768
AT&T CORP-LIBERTY MEDIA GROUP COMM 001957109 160333 3155399 SH SOLE 2179113 0 976286
ABBOTT LABS COMM 002824100 2753 75840 SH SOLE 2536 0 73304
AIRNET SYS INC COMM 009417106 762 107900 SH SOLE 107900 0 0
ALCOA INC COMM 013817101 8047 96958 SH SOLE 69858 0 27100
ALLSTATE CORP COMM 020002101 118394 4920284 SH SOLE 3291587 0 1628697
ALLTEL CORP COMM 020039103 127300 1539543 SH SOLE 1045070 0 494473
AMERICA ONLINE INC DEL COMM 02364J104 3431 45226 SH SOLE 7536 0 37690
AMERICAN COIN MERCHANDISING IN COMM 02516B108 1570 571200 SH SOLE 360100 0 211100
AMERICAN GEN CORP COMM 026351106 99949 1317288 SH SOLE 909219 0 408069
AMERICAN HOME PRODS CORP COMM 026609107 4975 126777 SH SOLE 117477 0 9300
AMERICAN INTL GROUP INC COMM 026874107 2026 18741 SH SOLE 9491 0 9250.31
AMGEN INC COMM 031162100 1353 22532 SH SOLE 656 0 21876
ANHEUSER BUSCH COS INC COMM 035229103 44170 623221 SH SOLE 547354 0 75867
AON CORP COMM 037389103 1486 37158 SH SOLE 19125 0 18033.75
APRIA HEALTHCARE GROUP INC COMM 037933108 287 16000 SH SOLE 0 0 16000
APPLIED MATLS INC COMM 038222105 5048 39850 SH SOLE 698 0 39152
ASSOCIATES FIRST CAP CORP COMM 046008108 3721 135642 SH SOLE 106116 0 29526
ATLANTIC RICHFIELD CO COMM 048825103 1167 13498 SH SOLE 12000 0 1498
AVTEAM INC COMM 054527205 2629 489300 SH SOLE 227200 0 262100
BANK OF AMERICA CORP COMM 060505104 5675 113087 SH SOLE 17753 0 95334
BANK ONE CORPORATION COMM 06423A103 91714 2866073 SH SOLE 1905302 0 960771
BAXTER INTL INC COMM 071813109 30803 490411 SH SOLE 265889 0 224522
BECTON DICKINSON & CO COMM 075887109 2117 78612 SH SOLE 1409 0 77203
BELL ATLANTIC CORP COMM 077853109 48145 782060 SH SOLE 500168 0 281892
BEVERLY ENTERPRISES INC COMM 087851309 1862 425600 SH SOLE 194200 0 231400
BRISTOL MYERS SQUIBB CO COMM 110122108 8536 132988 SH SOLE 53856 0 79132
CBRL GROUP INC COMM 12489V106 447 46100 SH SOLE 0 0 46100
CBS CORPORATION COMM 12490K107 1432 22408 SH SOLE 1406 0 21002
CH ENERGY GROUP INC COMM 12541M102 376 11400 SH SOLE 3000 0 8400
CLECO CORPORATION COMM 12561W105 359 11200 SH SOLE 2600 0 8600
CMP GROUP INC COMM 125887109 4567 165700 SH SOLE 63300 0 102400
CMS ENERGY CORP COMM 125896100 74096 2375843 SH SOLE 1530443 0 845400
CSX CORP COMM 126408103 39395 1255639 SH SOLE 725639 0 530000
CADENCE DESIGN SYS INC COMM 127387108 3090 128784 SH SOLE 2459 0 126325
CARBIDE/GRAPHITE GROUP INC COMM 140777103 1386 213300 SH SOLE 119700 0 93600
CARLISLE COS INC COMM 142339100 374 10400 SH SOLE 0 0 10400
CENTEX CORP COMM 152312104 286 11600 SH SOLE 7200 0 4400
CENTRAL & SOUTH WEST CORP COMM 152357109 42471 2123559 SH SOLE 1484059 0 639500
CHASE MANHATTAN CORP NEW COMM 16161A108 3212 41350 SH SOLE 4293 0 37057
CISCO SYS INC COMM 17275R102 5337 49828 SH SOLE 823 0 49005
CITIGROUP INC COMM 172967101 939 16867 SH SOLE 4687 0 12180
COMERICA INC COMM 200340107 859 18400 SH SOLE 18400 0 0
COMPUTER ASSOC INTL INC COMM 204912109 5019 71769 SH SOLE 1977 0 69792
CONAGRA INC COMM 205887102 1533 67574 SH SOLE 4317 0 63257
CONECTIV INC COMM 206829103 351 20900 SH SOLE 20900 0 0
CONOCO INC COMM 208251405 55639 2236769 SH SOLE 1511250 0 725519
CORDANT TECHNOLOGIES INC COMM 218412104 495 15000 SH SOLE 15000 0 0
DTE ENERGY CO COMM 233331107 63860 2019311 SH SOLE 1217111 0 802200
DANA CORP COMM 235811106 95635 3194508 SH SOLE 2172592 0 1021916
DEERE & CO COMM 244199105 764 17619 SH SOLE 17619 0 0
DELL COMPUTER CORP COMM 247025109 641 12584 SH SOLE 12584 0 0
DELPHI AUTOMOTIVE SYSTEMS COMM 247126105 42613 2705638 SH SOLE 1823015 0 882623.7
DISNEY WALT CO COMM 254687106 1552 53066 SH SOLE 53066 0 0
DOW CHEM CO COMM 260543103 106165 794501 SH SOLE 546501 0 248000
EARTHGRAINS CO COMM 270319106 1159 71900 SH SOLE 18200 0 53700
EARTHLINK NETWORK INC COMM 270322100 833 19600 SH SOLE 10000 0 9600
EASTMAN CHEM CO COMM 277432100 68484 1436101 SH SOLE 1006001 0 430100
EASTMAN KODAK CO COMM 277461109 138495 2090494 SH SOLE 1423750 0 666744
EATON CORP COMM 278058102 7298 100500 SH SOLE 28500 0 72000
EDISON INTL COMM 281020107 76970 2939196 SH SOLE 1708896 0 1230300
ENHANCE FINL SVCS GROUP INC COMM 293310108 1335 82200 SH SOLE 22600 0 59600
ENTERGY CORP NEW COMM 29364G103 13493 524000 SH SOLE 514300 0 9700
FAIR ISAAC & CO INC COMM 303250104 1526 28800 SH SOLE 0 0 28800
FDX CORPORATION COMM 31304N107 2253 55041 SH SOLE 1427 0 53614
FEDERAL NATIONAL MORTGAGE ASSO COMM 313586109 119126 1907933 SH SOLE 1334117 0 573816
FIRST MIDWEST BANCORP INC DEL COMM 320867104 1144 43200 SH SOLE 0 0 43200
FIRST SEC CORP DEL COMM 336294103 51184 2004760 SH SOLE 1335360 0 669400
FIRST UN CORP COMM 337358105 75962 2306262 SH SOLE 1550728 0 755534
FIRSTSERVICE CORP COMM 33761N109 630 46100 SH SOLE 26500 0 19600
FLEET BOSTON FINANCIAL CORP. COMM 339030108 9016 258995 SH SOLE 220995 0 38000
FORD MTR CO DEL COMM 345370100 172243 3230820 SH SOLE 2213168 0 1017652
FORTUNE BRANDS INC COMM 349631101 58730 1776357 SH SOLE 1237657 0 538700
FOX ENTERTAINMENT GROUP INC COMM 35138T107 4911 196941 SH SOLE 2681 0 194260
FRIEDMANS INC COMM 358438109 3050 406700 SH SOLE 219500 0 187200
GATX CORP COMM 361448103 6079 180120 SH SOLE 68300 0 111820
GPU INC COMM 36225X100 29215 982035 SH SOLE 531635 0 450400
GTE CORP COMM 362320103 75019 1063161 SH SOLE 640487 0 422674
GALILEO INTERNATIONAL COMM 363547100 1470 49114 SH SOLE 1852 0 47262
GENERAL ELEC CO COMM 369604103 10238 66162 SH SOLE 1144 0 65018
GENERAL MTRS CORP COMM 370442105 147109 2023869 SH SOLE 1421969 0 601900
GEORGIA PAC CORP COMM 373298108 83066 1636773 SH SOLE 1105193 0 531580
GEORGIA PAC CORP COMM 373298702 61106 2481492 SH SOLE 1602692 0 878800
HARLEYSVILLE GROUP INC COMM 412824104 2698 189400 SH SOLE 69400 0 120000
HARSCO CORP COMM 415864107 58168 1832088 SH SOLE 1076934 0 755154
HAWK CORP COMM 420089104 1272 218900 SH SOLE 96300 0 122600
HOME DEPOT INC COMM 437076102 3611 52533 SH SOLE 447 0 52086
HONEYWELL INTERNATIONAL INC COMM 438516106 4462 77348 SH SOLE 2334.25 0 75014.39
HORACE MANN EDUCATORS CORP NEW COMM 440327104 2025 103200 SH SOLE 51000 0 52200
HOUSEHOLD INTL INC COMM 441815107 92445 2481768 SH SOLE 1585913 0 895855
HUMANA INC COMM 444859102 201 24651 SH SOLE 2691 0 21960
HUTCHINSON TECHNOLOGY INC COMM 448407106 1400 65900 SH SOLE 21300 0 44600
IHOP CORP NEW COMM 449623107 1091 65400 SH SOLE 33900 0 31500
ILLINOVA CORP COMM 452317100 164223 4725842 SH SOLE 3214242 0 1511600
INTEL CORP COMM 458140100 4776 58030 SH SOLE 2178 0 55852
INTERNATIONAL BUSINESS MACHS C COMM 459200101 6298 58386 SH SOLE 7641 0 50745
INTERNATIONAL PAPER CO COMM 460146103 191835 3399083 SH SOLE 2326463 0 1072620
INTERSTATE BAKERIES CORP DEL N COMM 46072H108 2022 111600 SH SOLE 88700 0 22900
J & J SNACK FOODS CORP COMM 466032109 3489 170200 SH SOLE 85900 0 84300
JDA SOFTWARE GROUP INC COMM 46612K108 1557 95100 SH SOLE 9300 0 85800
JLG INDS INC COMM 466210101 690 43300 SH SOLE 8900 0 34400
KEANE INC COMM 486665102 546 17000 SH SOLE 17000 0 0
KEYCORP NEW COMM 493267108 40829 1845403 SH SOLE 1325603 0 519800
LENNAR CORP COMM 526057104 1228 75600 SH SOLE 30200 0 45400
LILLY ELI & CO COMM 532457108 4312 64849 SH SOLE 1071 0 63778
LINCARE HLDGS INC COMM 532791100 527 15200 SH SOLE 15200 0 0
LINCOLN NATL CORP IND COMM 534187109 78088 1952207 SH SOLE 1312416 0 639791
LOCKHEED MARTIN CORP COMM 539830109 97478 4456165 SH SOLE 3028428 0 1427737
LOUISIANA PAC CORP COMM 546347105 466 33200 SH SOLE 33200 0 0
MCI WORLDCOM INC COMM 55268B106 2402 45274 SH SOLE 1923 0 43351.5
MDU RES GROUP INC COMM 552690109 268 13400 SH SOLE 5900 0 7500
MAC-GRAY CORPORATION COMM 554153106 430 112900 SH SOLE 40300 0 72600
MANULIFE FINANCIAL CORP COMM 56501R106 56620 4565266 SH SOLE 4413811 0 151455
MARTIN MARIETTA MATLS INC COMM 573284106 463 11300 SH SOLE 11300 0 0
MAXIM INTEGRATED PRODS INC COMM 57772K101 3229 68436 SH SOLE 0 0 68436
MAY DEPT STORES CO COMM 577778103 69844 2165722 SH SOLE 1463642 0 702080
MERCK & CO INC COMM 589331107 1371 20416 SH SOLE 19416 0 1000
MERITOR AUTOMOTIVE INC COMM 59000G100 32772 1691484 SH SOLE 1151084 0 540400
MERRILL LYNCH & CO INC COMM 590188108 999 12000 SH SOLE 10000 0 2000
MICROSOFT CORP COMM 594918104 11600 99361 SH SOLE 2949 0 96412
MILLENNIUM CHEMICALS INC COMM 599903101 5440 275461 SH SOLE 183647 0 91814
MOLEX INC COMM 608554101 1549 27333 SH SOLE 9533 0 17800
MOLEX INC COMM 608554200 1236 27333 SH SOLE 9533 0 17800
MOTOROLA INC COMM 620076109 5929 40271 SH SOLE 623 0 39648
NICOR INC COMM 654086107 2752 84700 SH SOLE 77500 0 7200
NORFOLK SOUTHN CORP COMM 655844108 70987 3462819 SH SOLE 2303639 0 1159180
NORTHROP GRUMMAN CORP COMM 666807102 131756 2437110 SH SOLE 1751910 0 685200
OCCIDENTAL PETE CORP COMM 674599105 130910 6053667 SH SOLE 4134717 0 1918950
OHIO CAS CORP COMM 677240103 7900 491842 SH SOLE 242442 0 249400
PECO ENERGY CO COMM 693304107 25371 730125 SH SOLE 725625 0 4500
PIMCO ADVISORS L P COMM 69338P102 734 19500 SH SOLE 19500 0 0
P P & L RES INC COMM 693499105 32353 1414348 SH SOLE 964700 0 449648
PACTIV CORPORATION COMM 695257105 72960 6866824 SH SOLE 4846242 0 2020582
PAYLESS SHOESOURCE INC COMM 704379106 2284 48600 SH SOLE 42400 0 6200
PENNEY J C INC COMM 708160106 52927 2654689 SH SOLE 1791768 0 862921
PEOPLES ENERGY CORP COMM 711030106 29138 869815 SH SOLE 538815 0 331000
PHELPS DODGE CORP COMM 717265102 40955 607872 SH SOLE 484972 0 122900
PHILIP MORRIS COS INC COMM 718154107 131935 5736344 SH SOLE 4093265 0 1643079
PHILLIPS PETE CO COMM 718507106 124399 2646799 SH SOLE 1796239 0 850560
PITTSTON CO COMM 725701106 5022 228300 SH SOLE 116000 0 112300
PLAYBOY ENTERPRISES INC COMM 728117201 949 46300 SH SOLE 40000 0 6300
PLAYBOY ENTERPRISES INC COMM 728117300 758 31200 SH SOLE 14900 0 16300
POLO RALPH LAUREN CORPORATION COMM 731572103 1539 90204 SH SOLE 1187 0 89017
POTOMAC ELEC PWR CO COMM 737679100 1876 81804 SH SOLE 4470 0 77334
PUBLIC SVC CO N MEX COMM 744499104 299 18400 SH SOLE 4200 0 14200
PUBLIC SVC ENTERPRISE GROUP IN COMM 744573106 30093 864434 SH SOLE 684834 0 179600
PULTE CORP COMM 745867101 753 33500 SH SOLE 6600 0 26900
QUIKSILVER INC COMM 74838C106 345 22300 SH SOLE 0 0 22300
RGS ENERGY GROUP INC COMM 74956K104 1110 54000 SH SOLE 17400 0 36600
RADISYS CORP COMM 750459109 1132 22200 SH SOLE 10410 0 11790
RALCORP HLDGS INC NEW COMM 751028101 1852 92900 SH SOLE 35200 0 57700
REGIS CORP MINN COMM 758932107 419 22200 SH SOLE 0 0 22200
REYNOLDS METALS CO COMM 761763101 213626 2787948 SH SOLE 1854543 0 933405
ROCKWELL INTL CORP NEW COMM 773903109 42077 878901 SH SOLE 571201 0 307700
RUSSELL CORP COMM 782352108 43253 2582321 SH SOLE 1793821 0 788500
RYDER SYS INC COMM 783549108 17759 726734 SH SOLE 611634 0 115100
SBC COMMUNICATIONS INC COMM 78387G103 80584 1653017 SH SOLE 1074770 0 578247
SAFECO CORP COMM 786429100 65484 2632531 SH SOLE 1791021 0 841510
ST PAUL COS INC COMM 792860108 97473 2893450 SH SOLE 1941050 0 952400
SCANA CORP COMM 805898103 83754 3116458 SH SOLE 2076058 0 1040400
SCHWAB CHARLES CORP NEW COMM 808513105 1062 27778 SH SOLE 0 0 27778
SEARS ROEBUCK & CO COMM 812387108 80867 2662309 SH SOLE 1766519 0 895790
SIGMA ALDRICH CORP COMM 826552101 894 29740 SH SOLE 26800 0 2940
SOUTHERN CO COMM 842587107 9148 389300 SH SOLE 316300 0 73000
SPRINT CORP (PCS GROUP) COMM 852061100 673 10000 SH SOLE 5000 0 5000
STANCORP FINANCIAL GROUP INC COMM 852891100 972 38600 SH SOLE 6800 0 31800
STONE & WEBSTER INC COMM 861572105 1079 64200 SH SOLE 33200 0 31000
STONERIDGE INCORPORATED COMM 86183P102 1489 96500 SH SOLE 53700 0 42800
SUNOCO INC COMM 86764P109 13825 588321 SH SOLE 411921 0 176400
SYSCO CORP COMM 871829107 1280 32370 SH SOLE 30000 0 2370
T-HQ INC COMM 872443403 2541 109600 SH SOLE 67300 0 42300
TRW INC COMM 872649108 103873 1999969 SH SOLE 1451469 0 548500
TECH DATA CORP COMM 878237106 2159 79600 SH SOLE 30500 0 49100
TECUMSEH PRODS CO COMM 878895200 1033 21900 SH SOLE 9000 0 12900
TENNECO INC COMM 880349105 12478 1339972 SH SOLE 952660.4 0 387312
TEXACO INC COMM 881694103 29675 546379 SH SOLE 365379 0 181000
TEXAS INSTRS INC COMM 882508104 2058 21304 SH SOLE 935 0 20369
TEXAS UTILS CO COMM 882848104 39930 1122818 SH SOLE 606247 0 516571
TIME WARNER INC COMM 887315109 1896 26223 SH SOLE 541 0 25682
TITAN INTL INC COMM 88830M102 1660 255500 SH SOLE 172500 0 83000
TOLL BROS INC COMM 889478103 1249 67100 SH SOLE 19500 0 47600
TOTAL RENAL CARE HLDGS INC COMM 89151A107 3191 477200 SH SOLE 220000 0 257200
TOWER AUTOMOTIVE INC COMM 891707101 254 16500 SH SOLE 0 0 16500
UCAR INTL INC COMM 90262K109 1047 58800 SH SOLE 31000 0 27800
UGI CORP NEW COMM 902681105 515 25200 SH SOLE 4400 0 20800
USX-MARATHON GROUP COMM 902905827 91504 3706494 SH SOLE 2592584 0 1113910
USX-U S STL GROUP COMM 90337T101 143717 4355082 SH SOLE 3103382 0 1251700
ULTRAMAR DIAMOND SHAMROCK CORP COMM 904000106 61842 2725828 SH SOLE 1717728 0 1008100
UNIONBANCAL CORP COMM 908906100 30347 769520 SH SOLE 528320 0 241200
US WEST INC COMM 91273H101 1610 22369 SH SOLE 12519 0 9850
VENTAS INC COMM 92276F100 1641 392100 SH SOLE 165000 0 227100
VETERINARY CENTERS OF AMERICA COMM 925514101 1331 103400 SH SOLE 0 0 103400
WASHINGTON FED INC COMM 938824109 5681 287663 SH SOLE 246523 0 41140
WASHINGTON MUT INC COMM 939322103 110343 4264474 SH SOLE 2859922 0 1404552
WASTE MGMT INC COMM 94106L109 26388 1535345 SH SOLE 1021310 0 514035
WATSON PHARMACEUTICALS INC COMM 942683103 1940 54196 SH SOLE 801 0 53395
WELLS FARGO & CO COMM 949746101 1953 48300 SH SOLE 21000 0 27300
WEYERHAEUSER CO COMM 962166104 141493 1970315 SH SOLE 1303260 0 667055
WHIRLPOOL CORP COMM 963320106 76857 1181280 SH SOLE 832830 0 348450
XEROX CORP COMM 984121103 99477 4384697 SH SOLE 2963698 0 1420999
ROYAL DUTCH PETE CO NY REG SHRS 780257804 1911 31559 SH SOLE 17439 0 14120
SCOTTISH PWR PLC UNDEFINED 81013T705 18107 646709 SH SOLE 519399.4 0 127310
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